Standard Chartered Makes Strategic Move in EU Crypto Market
Standard Chartered has solidified its position in the European digital asset space by securing a regulatory license in Luxembourg to provide digital asset custody services, the bank said in a statement on Thursday.
With the license, the bank is establishing a new entity in Luxembourg act as its gateway to the European Union (EU) for its growing suite of crypto offerings, aligning with the recently implemented Markets in Crypto Assets (MiCA) regulation, the announcement said.
The Luxembourg entity represents a pivotal step in Standard Chartered’s global digital asset strategy. By leveraging Luxembourg’s balanced regulatory and financial ecosystem, the bank aims to cater to the increasing demand from institutional clients within the EU, Standard Chartered said.
The announcement follows the launch of similar services in the UAE, showcasing Standard Chartered’s commitment to expanding its footprint in the digital asset space.
Margaret Harwood-Jones, global head of financing and securities services at Standard Chartered, highlighted the bank’s forward-looking approach: “We are excited to offer our digital asset custody services to the EU, providing institutional clients with secure and regulated access to this transformative asset class. This marks a significant step in bridging traditional finance with the evolving digital asset ecosystem.”
Laurent Marochini, newly appointed CEO of Standard Chartered Luxembourg, brings extensive experience to the role, having previously served as head of innovation at Société Générale.
MiCA and Market Momentum
MiCA, the EU’s comprehensive regulatory framework for digital assets, aims to enhance consumer protection, market transparency, and integrity. The regulation set a December 30, 2024 deadline for member states to implement its guidelines.
Elsewhere in the EU, the Netherlands has also embraced MiCA’s framework, recently granting licenses to four digital asset companies: MoonPay, BitStaete, ZBD, and Hidden Road. These firms now have the green light to operate across all 27 EU member states.
The ripple effects of MiCA are being felt beyond the EU. The U.K., while operating outside the EU, has intensified its regulatory efforts, recently adding GSR Markets to its crypto register.
Meanwhile, Socios.com secured a Class 3 Virtual Financial Assets Act license from Malta, further strengthening its position in the EU market. This allows Socios.com to operate as a regulated Virtual Financial Asset service provider, enabling it, amongst other services, to engage in the placement of virtual financial assets.